Shanton Wilcox, US manufacturing lead at PA Consulting, discusses supply chain impacts from Coronavirus and the need for contingency plans.
The article notes that as coronavirus intensifies and continues to spread worldwide, fashion industry solution providers and brands weigh in on methods for mitigating supply chain impacts, and strategic planning for an unpredictable future. Hint: create a contingency plan.
Shanton agreed that planning — specifically, creating a playbook for future crises — is the best path forward for brands. “Companies must determine where they are exposed to these risks and determine the impact of various scenarios. They then need to develop mitigation plans for a few of the most likely scenarios, creating a playbook that is applied should a scenario materialize,” he said.
He adds: “This needs to be a crossfunctional effort, a siloed approach will likely include unintended consequences or unplanned costs that result in additional losses. This only gets an organization through this event, others will come, it’s inevitable. Over the longer term, companies should develop a risk management culture. It should flow from leadership into daily decisions, everyone should be thinking about ‘what happens if.’”
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